An apartment cooperative will typically involved a corporation renting apartments to people who are also owners of stock in the corporation. The apartment complex is owned by the corporation.
Two basic documents are ordinarily involved in the transfer of a member's or stockholder's interest in a cooperative apartment corporation: (1) an agreement for the purchase and sale of the proprietary lease and the appurtenant membership or stock; and (2) the instrument of assignment.
The agreement of purchase and sale is similar in format to an agreement for the sale of real property. The seller agrees to assign all rights under the proprietary lease covering the unit, and to sell the membership or stock in the corporation. The seller also agrees to procure the consent of the corporation to the transfer if this is required in the proprietary lease. The purchaser agrees to pay the purchase price and to submit references to the corporation and otherwise cooperate in procuring its consent to the transfer, and also promises to execute an agreement in a form approved by the corporation by which the purchaser assumes and agrees to be bound by all covenants and conditions of the proprietary lease.
The instrument of assignment does not differ materially from an ordinary assignment of a lease of real property, except that the assignor's interest in the membership or stock in the corporation is assigned together with interests under the proprietary lease. Ordinarily, the assignor declares that there are no liens or other claims outstanding against the lease or the shares to be assigned, that there are no undischarged bankruptcy proceedings or unsatisfied judgments or tax liens outstanding against the assignor, and that the assignor has full right and authority to assign the lease and shares.
The Indiana Agreement for Purchase and Sale of Rights to Cooperative Apartment is a legally binding contract used by individuals or entities in Indiana for buying and selling rights to cooperative apartments. This agreement outlines the terms and conditions that both the buyer and seller must adhere to during the transaction process. The agreement begins with the basic details of the parties involved, including their names, addresses, and contact information. It also identifies the cooperative apartment in question, specifying its address, unit number, and any associated amenities or parking spaces. The document then proceeds to highlight the purchase price of the cooperative apartment and how it will be paid, whether in cash or through financing. It may also include provisions for down payments, earnest money deposits, and financing contingencies. Furthermore, the Indiana Agreement for Purchase and Sale of Rights to Cooperative Apartment includes important provisions regarding inspections, repairs, and the condition of the property. It typically grants the buyer the right to conduct a professional inspection of the apartment within a specified timeframe. If any major issues are identified, the buyer may negotiate repair requests or have the option to terminate the agreement. The agreement also covers the allocation of expenses related to the cooperative apartment, such as property taxes, homeowners association fees, insurance fees, and utilities. It may include provisions specifying who is responsible for paying these expenses and how they will be prorated if the closing date falls within a billing period. Additionally, the Indiana Agreement for Purchase and Sale of Rights to Cooperative Apartment may touch upon the closing process, outlining the deadlines for various actions, such as obtaining mortgage financing or delivering necessary documents. It may also address the consequences of failing to meet these deadlines and any potential remedies available to the non-breaching party. In Indiana, there may not be different types of specific agreements for purchasing and selling rights to cooperative apartments. However, various additional addendums or provisions can be added to the agreement to address specific concerns or requirements of the parties involved. These addendums may include provisions related to financing, contingencies, seller disclosures, and other relevant factors. In conclusion, the Indiana Agreement for Purchase and Sale of Rights to Cooperative Apartment is a comprehensive document that governs the transfer of ownership rights in cooperative apartments. It covers various aspects of the transaction process, ensuring that both buyer and seller are protected and aware of their rights and responsibilities.
